Cadbury Nigeria Records N670 Million Half-year Profit after Tax
Cadbury Nigeria Plc has reported a revenue of N19.455 billion for the half year ended June 30, 2019, showing an increase of 11 per cent compared with the N17.555 billion recorded in the corresponding period of 2018.
Profit before tax stood at N953 million compared with a loss of N424 million, while the company ended with a profit after tax of N669 million. The H1 performance is an improvement on the N506 million profit recorded by Cadbury for the first quarter ended March 31, 2019.
Reacting to the H1 performance, the management of Cadbury Nigeria Plc said the overwhelmingly positive result reflected the success of the company’s current drive to sustain its growth trajectory and to enhance shareholder value.
Shareholders of Cadbury Nigeria recently approved a dividend of N471 million recommended by the board of directors for the 2018 financial year.
The dividend, which translates to 25 kobo per share, was in line with the company’s current efforts to create more value for investors.
Chairman of Cadbury Nigeria Plc, Mr. Atedo Peterside, said the growth recorded in 2018 financial year was due to its cost-cutting measures, effective marketing strategy, and superlative performance of its various brands. He said: “We re-launched our iconic cocoa beverage drink, Bournvita, with a new improved taste, last year in line with consumers’ tastes and preferences. Feedback from consumers indicates that the new Bournvita has gained wide acceptance.
“Cadbury Hot Chocolate 3-in-1 brand, our treat portfolio, recorded substantial growth, driven by its unique offering, while our gum and candy brands also recorded success in their respective categories. In addition, we sustained our current price competitiveness, and increased our Route-to-Market coverage/footprint in 2018.”
He had assured the shareholders that the company would continue to sustain its dividend policy.
Shareholders at the annual general meeting (AGM) applauded the company for increasing its dividend payment from 16 kobo in 2017 to 25 kobo in 2018 and charged Cadbury Nigeria to continue to evolve ways of consolidating on the performance of its brands, while exploring other options including local manufacture of Hot Chocolate 3 in 1, which is currently imported from Ghana, to create more jobs locally.
They also commended Mondelez International and the Board of Directors of Cadbury Nigeria for the appointment of Mrs. Oyeyimika Adeboye as the first female managing director of the company.